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You used the term "highest level of disposable income in the world". Sorry to be so blunt, but it's not helpful if you look only at the average. A better metr

You used the term "highest level of disposable income in the world". Sorry to be so blunt, but it's not helpful if you look only at the average. A better metric would be the median because it is well known that the super rich distort the disposable income in some countries (the US, but also some European countries). I see in plutocraticish environments the rich and powerful sometimes very deftfully prevent measures inconvenient for Corporate but useful for the weaker part of the population. I admit this also happens in Europe. But somehow it is just easier to live as a poorish person in many European countries.

pembrook 2y ago
Not sure if you checked the link, Wikipedia has both Mean equivalised and Median equivalised charts. Americans rank #1 on both mean and median. So the point about the super rich distorting the mean is irrelevant. > But somehow it is just easier to live as a poorish person in many European countries. Perception and narratives are not reality. In fact, typically in economic matters it takes almost a decade for the public narrative to shift to match the reality of the numbers. Even if reality is right there in the data. This is why bubbles usually go on for much longer than the "smart" people think they will. Look at any of Fama-French research; momentum is the strongest inefficiency in virtually all markets.
- FredPret 2y ago
  The other thing is - though US median performance is high and average performance is much higher - it's not just a couple of billionaires pulling up that average. It's millionaires - tens of millions of them. There's something special about a system that can create so many extremely successful people.
  - GreenWatermelon 2y ago
    It does so by creating equally as many incredibly miserable people. Homelessness is rampant on the US and the average American is one health emergency away from poverty. That's also the same country well known for saddling college students with life-crippling debts.

pembrook 2y ago

Not sure if you checked the link, Wikipedia has both Mean equivalised and Median equivalised charts. Americans rank #1 on both mean and median. So the point about the super rich distorting the mean is irrelevant. > But somehow it is just easier to live as a poorish person in many European countries. Perception and narratives are not reality. In fact, typically in economic matters it takes almost a decade for the public narrative to shift to match the reality of the numbers. Even if reality is right there in the data. This is why bubbles usually go on for much longer than the "smart" people think they will. Look at any of Fama-French research; momentum is the strongest inefficiency in virtually all markets.

FredPret 2y ago
The other thing is - though US median performance is high and average performance is much higher - it's not just a couple of billionaires pulling up that average. It's millionaires - tens of millions of them. There's something special about a system that can create so many extremely successful people.
- GreenWatermelon 2y ago
  It does so by creating equally as many incredibly miserable people. Homelessness is rampant on the US and the average American is one health emergency away from poverty. That's also the same country well known for saddling college students with life-crippling debts.